5.32% or $1.51 - that's how much eBay was down today, closing at $26.85.
This morning started with an announcement that shocked and rocked eBay Inc. investors: a management shakeup amongst eBay's highest ranking officers. Many appointments and reshuffling were made, but what investors cared about was Jeff Jordan leaving the presidency of PayPal. Rajiv Dutta, current president of Skype was named as taking Jordan's place while Alex Kazim would be taking on Skype's presidency.
None of this sat well with investors, especially losing Jeff Jordan. I speculated about possible scenarios that led to this shakeup or that might come out of it, but I wasn't the only one who couldn't understand the "planned move" as many analysts such as UBS analyst Benjamin Schachter commented that this move is disconcerting.
From early morning, another analyst report wasn't helping eBay stock recover. Citigroup analyst Mark Mahaney noted that after a full comparative product analysis, Checkout will present a greater challenge to eBay's PayPal than is widely thought. While Mahaney maintained a "Buy" rating on eBay, he lowered his 12-month target price to $40 from $51, also dropping growth estimates.
Google's plan for netbook PCs moves higher into the clouds
Closing Bell: Stock bulls and dollar death (DDRX,GMCR, PEET, SBUX, EBAY, CI, TECD)
So long peak oil, here comes peak uranium
Reader Comments (Page 1 of 1)
7-07-2006 @ 12:31PM
Tracy Riggs said...
Sounds to me like some of the top brass (RATS) are abandoning a sinking ship. ( Signs that a company is in real trouble) Every move Meg and company have made including their SPLIT, have taken this stock lower and lower the past two years. Everyone continues to speculate on the future of eBay and Meg herself? Is she really a good leader?
7-10-2006 @ 12:04PM
Paul Nauck said...
Maybe, just maybe if Meg left eBay could still be saved. Youre right, Rats are leaving a sinking ship.
All they do is Improove features that don't work in the first place. Bloat, unneccessary garbage. It is so bloated now that buyers on dial up, just give up. **ZERO** customer support. They have chat rooms, and if you mention a compeditor, they pull that post, and you might get penalized.
Some of their rules are ridiculous, of what you can sell and what you can't.
There is more, but eBay users already know. I wish Google or Microsoft would just buy them out, and have a **Real** auction site, like what eBay used to be many years ago.